The Financial Administration of the Slovak Republic introduces a measure on the basis of which it will enable natural and legal persons who are not obliged to communicate with the Financial Administration electronically to postpone their the tax return until the end of May 2020 (or until 1 June 2020, as 31 May 2020 falls on Sunday). Tax returns filed within the extended deadline will be considered by the Financial Administration as filed within the deadline.

Taxpayers do not need to inform the Financial Administration of this fact. The measure does not apply to VAT payers, natural persons - entrepreneurs and legal entities registered in the Commercial Register, because they communicate electronically with the financial administration and the law requires them to postpone the tax return. 

To whom does the term 31.05.2020 relate?

In the case of natural persons, they are non-business persons if:

• they only have income from employment and, for various reasons, submit a type A tax return and are not also entrepreneurs who are registered with the Tax Office;
• generate real estate rental income, real estate sales, non-monetary winnings, securities sale income, share transfer, capital assets income (such as return on unit certificates, bond yields, interest on loans) and are not entrepreneurs who are registered with the Tax Office;
• generate income from the creation of a work under the Copyright Act (artists), income from the use of the work and artistic performance under the Copyright Act;
• generate personal assistance income;
• generate incomes from the activities of performing athletes under the Sport Act;
• generate income from the activities of experts and interpreters for activities under the Act on Experts, Interpreters and Translators.

For legal entities, these are:

• legal persons not registered in the Commercial Register, provided that they are not VAT payers;
• taxpayers who are not established or founded for business (these are listed in Sec. 12 (3) of the Income Tax Act, e.g civic associations, foundations, legal entities interest associations and others);
• land communities;
• foreign persons, if they are not VAT payers in our country and are not registered in our Commercial Register.

The Financial Administration of the Slovak Republic points out that anyone can communicate electronically with the Financial Administration. The main advantage of electronic communication is that it saves time and tax obligations can be managed by the taxpayers from the comfort of home without the risk of being infected with the COVID-19 virus.

Filing VAT returns

Given the approaching deadline for VAT returns, the Financial Administration points out that all VAT payers are required to communicate electronically with the Financial Administration.

If taxpayers assume that they might not meet the deadline (or other obstacles may arise in relation to the current situation), taxpayers have the possibility to request the waiver of the missed deadline. The Financial Administration shall take into account reasoned requests for waiver of the missed deadline.

CONCLUSION:

We are constantly monitoring the situation and we will inform you in time about new facts. If you have any questions or requests, please do not hesitate to contact VGD SLOVAKIA s.r.o., we will be happy to provide you with advice. For more information, please click on our website, Facebook page or Linked-In. We would like to inform you about another two articles with the topic of COVID-19. Read more about the impact of the coronavirus pandemic on the contractual relations HERE. More information about deferral of tax for persons without electronic communication obligations until May available HERE.

Branislav Kováč                Danie Martiny 

Partner                                Manager Tax

Disclaimer: The information provided to the Client is up to date as of 16.03.2020, it is for informational purposes only and does not replace any formal advice. VGD SLOVAKIA s.r.o. does not assume liability for the completeness and accuracy of the information referred to in the paper. In case of questions about the information provided to the Client, the customer may ask VGD SLOVAKIA s.r.o. for provision of services for this purpose.